THE NEXT FIVE (5) QUESTIONS ARE BASED ON THE FO The following table provides information on the price and Stories (Xi) Sale Price (Yi) input $1,200,000 4 $3,500,000 5 $5, 100,000 6 $5,050,000 9 $6,800,000 St 10 $7,200,000 12 $8,900,000 2 + 12 $9,600,000 2 + X, r = - 1.22 7 1 SWAP = 0 . 9 9. What is the linear correlation coefficient between X aFoundations of Real Estate Mathematics 13. What is the standard error of the estimate for the value of the building with 11 stories? (Hint: MS Excel can be used directly to solve for this.) (1) Close to $600,000 (2) Close to $800,000 (3) Close to $500,000 (4) Close to $700,000 14. What does the following cross tabulation table show you about the relationship between the quality of a home and the number of fireplaces in the home? Number of Fireplaces 1 2 3 4 Total Poor 3 2 0 0 Fair 14 6 O 21 Quality Standard 22 19 10 0 51 22 45 27 0 94 Class Average 5 266 Above Average 33 87 141 Excellent 3 52 199 9 263 97 211 378 14 Total 700 1) Very little can be seen with this cross tabulation table since cross tabulation tables are best used with two continuous variables or with one discrete variable and one continuous variable. 2) Generally, as the quality of the home increases, the number of fireplaces increases. 3) Generally, a home with one fireplace will be above average quality or better. (4) The majority of homes with two fireplaces are of average quality or worse. 15. Given all the information in Example 11.5 from the course manual, which of the following statements is TRUE? (1) Based on the correlation coefficient, the predicted value should be increased by 14.3%. 2) The standard error of the estimate means that we can only be 2% confident in any predicted price. 3) For a 1,550 square foot home, the predicted price is $287,000, rounded to the nearest $1,000. (4) None of the above